The Chandigarh Beopar Mandal (CBM) has urged a reduction in GST on rent paid by composite dealers to commercial property owners at a meeting of the National Traders Welfare Board (NTWB) held in Delhi.
Chairman of the CBM and member of the National Traders Welfare Board, submitted a memorandum to the Board’s president.
The 9th meeting of the NTWB was held at Vanijya Bhawan, Ministry of Commerce and Industry, New Delhi.
He said that when traders pay rent to owners of commercial properties, they are required to pay GST at 18 per cent along with the rent.
While regular dealers are entitled to claim input tax credit while filing their returns, composite dealers are not, thereby placing an additional financial burden on small traders, as only small traders are eligible to enrol under the composite scheme.
He suggested that a new provision be introduced to levy GST at 5 per cent on rent paid by composite dealers operating from small shops. He added that the monthly rent for such shops in cities typically ranges between Rs 50,000 and Rs 80,000.
He also demanded the extension of all MSME Act benefits to traders, including easier access to bank loans, interest rate subsidies, and recovery of dues through the Samadhan MSME portal.
Around 27 members from different states attended the meeting and raised issues related to traders’ welfare. Officials from nine ministries of the Government of India associated with trade also participated.
Source from: https://www.tribuneindia.com/news/chandigarh/traders-body-seeks-gst-relief-on-rental-payments
